Orange Mortgage - The Basics
What is an Orange Mortgage?
An Orange Mortgage offers a great low rate with no application fees and no points. Plus with our free 60-day rate guarantee on purchases and 45 days on refinances, your rate is protected. You can apply online or over the phone and in most cases have an offer back immediately. Call us toll-free at 1-866-327-4599.
View a short demo to see the savings and benefits of the Orange Mortgage.
What's the minimum amount I need for a down payment?
To purchase a primary residence (the one you live in), you'll need at least a 20% down payment. For a vacation home, you'll need at least a 25% down payment. Sometimes it's better to get a second mortgage (a home equity) rather than pay a higher interest rate on your first mortgage balance, but our Mortgage Associates can help you decide which option is best for you. The Orange Home Equity is not available when financing a second home.
What type of property can I finance?
ING DIRECT will help you get a mortgage for owner-occupied properties (your primary residence) and vacation homes. These include single family homes and condominiums/town homes. We cannot consider applications for leaseholds, investment properties (rentals), mobile or manufactured homes, log homes, dwellings with two or more units, condotels, co-ops, timeshares, properties greater than 10 acres, unimproved land, or trust-owned properties not held in a family trust.
After the fixed rate period, how do you determine my Orange Mortgage rate?
We determine your rate by taking the margin and add it to an Index to arrive at the final interest rate for each adjustment period. We use the 1-Year LIBOR as our index. For example, if the 1-Year LIBOR is 3.50% and the margin is 2.50%, the final interest rate would be 6.00%.
How long can I lock my rate?
Once you commit to an Orange Mortgage, our rate guarantee will automatically lock your rate for 60 days if you’re purchasing a home or 45 days if you’re refinancing – for FREE. This rate guarantee means you'll be protected if rates go up.
What are Closing Costs?
We incur expenses when processing your loan, such as having a title search completed and appraising the value of your home; these are third party fees that must be paid at closing. The first page of the loan application can estimate these costs based on your specific details. If you are reviewing offers from other banks, use these estimated costs to compare and make sure you're getting the best deal.
What is an electronic closing?
If you’re refinancing your mortgage or getting a home equity loan with us, you now have the option of closing your loan in the comfort of your home, online and over the phone at no extra charge. Once you’re ready to close on your Orange Home Loan, your closing agent will provide you with all the necessary information about the electronic closing process. With an electronic closing, you don’t need to leave your home or coordinate with a closing agent – simply sign in to your account online and close on your loan. It's convenience and value at its best.
Keep in mind, the electronic closing option is only available for a refinance and home equity.
How many years do I have to pay off my Orange Mortgage?
Payments on the Orange Mortgage are based on 30 years. So, you have 30 years to pay off your Orange Mortgage.
Are there any limits as to how much my rate can adjust?
Yes. With the Orange Mortgage, the rate can adjust – up or down – a maximum of 2 percentage points annually after the fixed term ends, and 6 percentage points over the life of the loan. The important thing to remember is that your rate can go up, down or stay the same. It can change annually after the fixed-period expires, only if the 1-year LIBOR rate changes.
What does the projected rate and payment mean that’s listed next to the current rates for the Orange Mortgage?
The government requires us to display this information. So what does it mean? The Adjustable Rate Orange Mortgage has a fixed rate and monthly payment for the first five or seven years. After that the rate can adjust up or down annually. As a result, we’re required to display what the rate and payment will be after the fixed rate period ends. Keep in mind, since we don’t know what rates will be in the future, the actual interest rate and payment may be higher or lower.
What are Guaranteed Closing Costs?
We guarantee all estimated closing costs shown on your most recent Good Faith Estimate (a legal document provided after you submit your application) except for the following:
- Daily Interest Charges – This is the amount of interest you owe on your loan up until your first payment. The amount depends on your rate and the day of the month you sign and finalize your loan documents.
- Homeowner’s Insurance – All banks require you to have it but we can’t guarantee this fee because you purchase it on your own. Your Good Faith Estimate includes an estimated annual premium for Homeowner's Insurance if the loan is for the purchase of a home.
Remember, if the actual closing costs are lower, you’ll pay the lower amount! Customers purchasing a home will need to use our provided Title and Closing agent to be eligible.